Comprehensive M&A data with integrated detailed company information

Apax makes an offer for WeBuyAnyCar owner just three years after IPO
Posted on Monday, 11 June 2018 13:53
A proposal by Apax Partners has been rejected by UK-based car auctioneer BCA Marketplace after the private equity firm tabled a bid that valued the firm at GBP 1.60 billion.

In a statement issued to the London Stock Exchange, the WeBuyAnyCar-owner said on 9th May it received a preliminary offer from the buyout firm worth GBP 2.00 per share, which it decided to decline after careful consideration.

This bid represents a 5.2 per cent discount to BCA’s close of GBP 2.11 on 8th June, the last trading day prior to the statement.

Sky News was the first to report on the potential deal and cited city sources as saying there is no offer in front of the board at the moment.

At the time of the article yesterday, the broadcaster observed that Apax was yet to make a formal proposal and discussions regarding a deal were yet to start.

The news sent shares up as much as 13.5 per cent to GBP 2.40 at 08:52 today.

In addition to Apax, Sky News noted that Clayton Dubilier & Rice, which owned BCA prior to its stock market flotation in 2015, may consider making an offer.

The target is known for its range of automobile services, such as vehicle exchange and finance, as well as being the largest transporter fleet in the UK.

According to the statement made by BCA, Apax now has until 8th July to either table a firm intention to make an offer or announce that it does not intend to pursue an acquisition of the company.

There can be no certainty any deal will be made as a result of the announcement.

BCA’s last available financials are for the six months ending 1st October 2017.

In this timeframe, it generated revenue of GBP 1.17 billion and adjusted earnings before interest, taxes, depreciation and amortisation of GBP 75.80 million, both of which represented an increase on GBP 909.80 million and GBP 64.50 million, respectively, year-on-year.

© Zephus Ltd